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129. Kintectics Ltd can manufacture 480 000 electrical pumps a year at a variable cost of $15 per pump and fixed costs of $500 000.
129. Kintectics Ltd can manufacture 480 000 electrical pumps a year at a variable cost of $15 per
pump and fixed costs of $500 000. Kintectics Ltd budgeted that it can sell 400 000 at $25 each.
An additional order of 100 000 was received, but at a discount of 35% from the regular price
If Kintectics Ltd accepts the special order, profit before taxes will:
*a. decrease by $75 000. b. increase by $75 000. c. increase by $25 000. d. none of the options listed.
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